Applying a credit against a client for use on invoices yet to be issued.

[Code4]

We have a client who would like to pay us a large amount of money to be applied to their account for future training of their staff over the next 12 months or thereabouts.

The client is then to receive a percentage based reduction on the invoices we issue during the next 12 months against their account which would be in credit.

Unfortunately we can't seem to find anything within the Square payment system that shows how to achieve this transaction.

Any guidance on how to achieve this would be greatly appreciated.

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[Laurie_ · Accepted solution]

Hi @Code4,

Thanks for reaching out with your question! Currently, Square doesn’t offer a built-in feature to apply prepaid credits or deposits directly to future invoices, and we don’t support storing credits on customer profiles.

However, you do have the option for customers to save a card on file for future or ongoing payments. Some Sellers in similar situations create recurring invoice series with the customer’s card saved as the payment method, allowing automatic charges according to the agreed schedule.

If you prefer to accept a large upfront payment through Square, you would need to process it in full and then manually track the customer’s credit balance outside of Square, using accounting software or a spreadsheet to apply discounts or reductions against future invoices.

I hope this helps to clarify what's currently possible with Square.